Chevron 1Q profits plunge on lower oil production, prices

Chevron Corp. reported earnings of $4.5 billion for this year’s first quarter compared with $6.2 billion for first-quarter 2013. Revenues in the first quarter were $51 billion, down from $54 billion during the same quarter a year ago.

The plunge in first-quarter profits was primarily due to lower prices and volumes for crude oil, said Chairman and Chief Executive Officer John Watson.

“Crude prices were tempered by global economic factors, while our current year production volumes were affected by weather-related, unplanned downtime, particularly in Kazakhstan,” he said.

The company’s worldwide net oil-equivalent production was 2.59 million b/d in this year’s first quarter compared with 2.65 million b/d in first-quarter 2013.

In the US, net liquids component of oil-equivalent production decreased 4% to 438,000 b/d in this year’s first quarter, while net natural gas production decreased 3% to 1.21 bcfd. Internationally, net liquids component of oil-equivalent production decreased 2% to 1.28 million b/d, while net natural gas production was essentially unchanged at 4.04 bcfd.

The company’s average sales price of crude oil and natural gas liquids were $91/bbl in the US and $99/bbl internationally in this year’s first quarter, respectively down from $94/bbl and $102/bbl in the same quarter a year ago. The US average sales price of natural gas was $4.77/Mcf, compared with $3.11/Mcf in the first quarter 2013, while the international price was $6.02/Mcf vs. $6.07/Mcf in last year’s first quarter.

On the downstream side, US operations earned $422 million in this year’s first quarter compared with earnings of $135 million a year earlier, mainly due to higher margins on refined product sales and a gain on the sale of an interest in pipeline affiliate.

International downstream operations earned $288 million in this year’s first quarter compared with $566 million for the same period in 2013, mainly due to lower margins on refined product sales and exchange rate effect.

Related Articles

Uneven effects seen from new Appalachian pipelines

09/15/2014 Producers in the Appalachian basin will benefit unevenly from markets opening for natural gas from the Marcellus and Utica shales, according to a C...

AAPG ICE: Turkey sees early shale oil development

09/15/2014 Turkey is slightly larger than the state of Texas geographically, yet the country has only seen 4,400 wells drilled since 1940. While Texas’ oil hi...

Giesler joins Miller as chief executive

09/15/2014 Carl F. Giesler Jr. has joined Miller Energy Resources Inc., Knoxville, Tenn., as chief executive officer, replacing Scott M. Boruff, who is now ex...

Miller seeks Buccaneer’s Alaskan assets

09/15/2014 Miller Energy Resources Inc., Knoxville, Tenn., has signed a nonbinding letter of intent to buy Alaskan operating assets of Buccaneer Energy for $4...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected